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South African license process criticized

27 November 2006

SOUTH AFRICA – As reported by the South African Herald: "Ekhuphumleni, one of the bidders for the last two casino licences in the Eastern Cape, has cried foul, saying the process was 'suspect'.

"The winning bids, announced earlier this month, were given to Johannesburg-based Peermont Global for the Mthatha licence and to East London-based Lukhanji Leisure for the Queenstown licence.

"Ekuphumleni is made up of Port Elizabethbased African Pioneer, African Parade Trading 110, Zonwabise Resort Holdings and the Komani Trust. The casino would have been managed by Sun international and Komani.

"African Pioneer's Stephen Dondolo said the winning bids were suspect.

"…Dondolo alleged that the Queenstown site was too small to build a casino and adjoining hotel and that the winning Mthatha site had a land claim on it.

"He said he was appealing to the Eastern Cape Gambling and Betting Board to reveal how it had reached its decision…"

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